First House For Sale

[Shaun Hunt]

The market in my area has seemed to peak. I placed one of seven homes up for sale. If/when it sells. I have an offer of 195K on the home. The money will be used to pay off one HELCO of $20K. I owe about $650K on several other loans and the remaining funds will be used to pay down those loans.

I purchased the home for about 120K. Rehab was about 15K. Down payment was 20%. I purchased home a little over two years ago. I ow about 85K. Home was depreciated each year on taxes.

What can I expect as far as taxes. 

I don't think I'll have to pay on the 200K. I think it will be 15% tax instead of 30% because I have owned it more than two years.

What are some things that I can expect to happen as far as depreciation recapture, tax and other things that I'm not expecting.

I did purchase another home this year and took a 15K hit on rehab.  Will this help to cancel some of the capital gains?